The developers of a Jersey City residential building that was forced in 2012 to hand over seven condos to the city for use as affordable housing is suing the city in federal court, alleging city officials now want to sell the condos for profit.
Joseph and Neil Sorrentino are seeking $10 million from the city, saying it “fraudulently, willfully and wrongfully misrepresented” in various trials that the seven condos were to be used as live/work spaces for artists.
The lawsuit, filed in March, is the latest in a series of court actions the Sorrentinos have taken against Jersey City over the condos stretching back to 2007. The developers have lost all of them.
A request for comment from the developers’ attorney was not returned. City spokeswoman Jennifer Morrill declined to comment.
The Sorrentinos say in December, city officials attempted to revise a 2007 zoning board resolution that requires the units be set aside as affordable housing. The proposed revision was intended to allow the city to sell the units for profit, the lawsuit says.
When the Sorrentinos objected, according to the lawsuit, Corporation Counsel Jeremy Farrell said the money from the sale of the units would be transferred to the city’s affordable housing trust fund.
The administration is asking the City Council next week to approve a $75,000 no-bid contract to Newark firm Calcagni & Kanefsky to defend the city in the suit.
The Sorrentinos allege city officials in 2004 told them they would not receive zoning approvals for the 13-story Washington Commons unless they sold seven units at cost — $475,000 each — to the city for use as live/work space for artists. City officials demanded after construction that the units be turned over at no cost, the developers say.
A lawsuit the developers filed in Hudson County Superior Court in 2007 seeking damages from the city was dismissed because it was filed too late. A second, similar suit filed in Superior Court was also dismissed.
A federal judge in 2012 declined to intervene when the developers sought to have the deal voided, saying the dispute was beyond his jurisdiction.
Source: www.nj.com
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